Spiral raises $28m Series A to help fintechs embed sustainability and social impact

‘Impact-as-a-Service’ platform Spiral has raised $28m Series A to help fintechs embed sustainability and drive positive change.

The New York-based startup was founded three years ago and launched a socially responsible consumer banking app in 2021, which grew to 65,000 customers and $65m in transactions in under a year.

Spiral has since pivoted to partnering with financial institutions rather than offering an independent app, in order to extend its reach.

“We realized that our innovative impact products are game-changer differentiators for banks, credit unions, and financial institutions that want to lead the market and give back to their communities while increasing their revenues and expanding their customer base,” Spiral co-founder and CEO Shawn Melamed said.

“Therefore, we decided to make our technology accessible to all financial institutions to help more people and businesses make an impact easily using their current banking and financial apps.”

The Series A raise was led by Team8, with participation from Euclidean Capital and Intuition Fund, Communitas Capital, Phoenix and Nidoco AB, and brings the startup’s total funding to $42m.

Spiral now aims to help banks and credit unions “unlock the power of community, sustainability and social impact”, in turn driving customer engagement.

Its embedded product should allow customers to make a positive impact through their everyday purchases, whether that’s rounding up card transactions, monthly donations to charity or tax-deductible donor-advised funds for long-term charitable giving.